- Tata Communications reported a net income of 2.36 billion rupees for the third quarter, which missed the estimated 2.81 billion rupees.
- Compared to the previous year, net income was significantly up from 448.1 million rupees.
- Third-quarter revenue increased by 3.6% year-over-year to 57.9 billion rupees, slightly below the estimated 59.3 billion rupees.
- Total costs rose by 4.2% year-over-year to 54.4 billion rupees.
- Tata Communications plans to invest 7.70 billion rupees in its unit, TC Netherlands.
- Following the earnings report, Tata Communications‘ shares fell by 4.5%, closing at 1,620 rupees with 220,985 shares traded.
- Analyst recommendations include 4 buy ratings, 2 hold ratings, and 2 sell ratings.
A look at Tata Communications Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 2.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Tata Communications Limited, a telecommunications service provider, is presented with a mixed outlook based on the Smartkarma Smart Scores. While the company shows strength in dividend yield, growth potential, and resilience, it falls short in terms of value and momentum. The company’s focus on steady dividend payouts, consistent growth prospects, and the ability to navigate challenging market conditions suggest a promising long-term outlook. However, the lower scores in value and momentum indicate areas where Tata Communications may need to enhance its performance to attract investors seeking higher value and quicker stock price appreciation.
Summary: Tata Communications Limited offers telecommunications services encompassing international telephony, telex, and telegraphy, among other services. The company’s overall Smartkarma Smart Scores highlight a positive outlook in dividend yield, growth potential, and resilience, with areas for improvement in value and momentum, which could impact its long-term performance in the market.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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